I believe one major reason also is how they are educated on how to use crypto. Most of them will prefer the traditional fiat method vs crypto, as I think, most of them don't know yet how to deal with crypto. If they have been using fiat for long time, most of them won't divert their way of doing things. However, for maybe younger generation of criminals, they will explore their opportunities in crypto. They are way easier to learn this new currency and more than likely, more willing to explore new method of dealing with their funds. Criminals will always find their way in this market. I think we can't stop them from using it once they got acquainted of the technology.
That's certainly true, mate. Lack of education is one of the main reasons why criminals still use Fiat on top of crypto up to this date. If they knew how to use it properly, they would've done the switch already. I think criminals will use privacy-oriented cryptocurrencies for illicit activities, because transactions are completely obfuscated from third parties. Not like Bitcoin or Ethereum where everything is visible on a public blockchain ledger. This will be a huge blow to cryptocurrencies like Monero and Grin, as governments start cracking down on them to prevent criminals from "doing their thing".
What matters is that crypto stays decentralized and censorship-resistant to help stand the test of time. Criminal activity on crypto is the least reason to worry about if governments do their part. Since the market is mostly dominated by centralized exchanges, it's easy enough to detect suspicious transactions. Fiat is still the dominating form of currency, so governments will "ignore" crypto at least for a while. Just my opinion
